Transit board approves 2013 budget

Published 3:26 am, Thursday, July 26, 2012

Patrons prepare to board one of the EZ Rider buses at the downtown transfer station. Planned construction is forcing relocation of the downtown hub.

Patrons prepare to board one of the EZ Rider buses at the downtown transfer station. Planned construction is forcing relocation of the downtown hub.

Photo: MRT File Photo

Transit board approves 2013 budget

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A budget of $3.61 million was approved Wednesday for the EZ Rider system for fiscal year 2013.

The operating budget that the Midland-Odessa Urban Transit District Board unanimously approved includes an about $30,000 increase in expenses from the present fiscal year. It also calls for additional advertising revenue — $116,011, compared to $70,000 budgeted this year — that EZ Rider staff said is attainable because revenues for this year already are well above what was expected.

“We really looked through the budget in a lot of detail,” said John Hendrickson, with McDonald Transit, EZ Rider’s parent company.

When budget discussions began earlier this year, EZ Rider was looking at a deficit of about $14,000 if it wanted to continue paratransit services outside of the required area. There also had been talk of hiring another individual who specializes in finance.

The current fiscal year budget was approved in 2011 with a deficit that was made up for through a transfer from the reserve account.

Having indicated they wouldn’t approve another unbalanced budget, board members said Wednesday they were satisfied with the numbers presented. The balanced budget keeps paratransit service level but does not include the additional employee.

“That’s been probably one of the most transparent budgets I’ve seen,” said Willie Barber, board member. “It’s at least justifying the money that we need.”

Still, while some board members said the transit system is moving in the right direction, others are concerned about the present situation.

With a shortage of drivers and mechanical problems that sometimes put buses out of commission, multiple routes were canceled on various days during both June and July.

As a result of the canceled routes, the number of individuals using EZ Rider in June was down by 12.5 percent in Midland and by nearly 21 percent in Odessa when compared with the previous year, said Alonda Massey, EZ Rider general manager.

Barbara Graff, Odessa city councilwoman and MOUTD board member, said the situation is unacceptable. She requested an executive session be scheduled next week. The board needs more information about what’s going on at EZ Rider, she said.

“Our routes are down. We all know we have problems,” Graff said. “We don’t have answers.”

Massey and Hendrickson said they’re moving forward in every way possible, though some routes still have been canceled in recent weeks.

Two new drivers started Wednesday and others are being interviewed, Massey said. All of the necessary mechanics have been hired, Hendrickson said.

“We’re moving forward with maintenance issues,” Hendrickson said. “We have a workforce that is tired. Some of the things we’re working on today is to get enough employees.”

Until enough drivers are hired, those already on staff often work long hours. If someone calls in sick or doesn’t show up, a route may have to be canceled until another driver can come in, Massey said.

Part of what’s delaying the start of new drivers is the multi-week wait to test for a CDL license at Department of Public Safety offices region-wide, Hendrickson said.

The budget approved Wednesday includes some changes Hendrickson said the company hopes will help in retaining employees.

Drivers at EZ Rider will start at $11.50 an hour in the coming fiscal year. The current starting pay is $11 an hour, he said.

Incentive programs also will be offered to drivers and mechanics who meet certain standards, he said.

Overall, the budget calls for $889,046 for bus operators, $306,536 for operations staff and $353,122 for maintenance staff.

The budget included the hiring of a marketing employee. That person will be offered $35,693 and could also make commission, Massey said. In the past, marketing has been done through outside contracts.

On the revenue side, just more than $500,000 will be generated by the transit system.

Federal grants account for just more than $2 million, state grants for nearly $485,000 and local funds for $500,000; Midland and Odessa each contribute half.

Advertising revenues are at an all-time high this year. Massey said they expect to bring in between $104,000 and $107,000 by the end of the fiscal year, or more than $30,000 over what was budgeted.

Because of that and because of the addition of a full-time marketing employee, Massey said they budgeted for $116,000 in advertising revenue this year.